Top tips to utilise the full benefits of your Savings Account

A bank Savings Account is a basic account that allows quick monetary transactions. As a liquid instrument, you can withdraw and deposit money anytime at your convenience. After introducing the Pradhan Mantri Jan Dhan Yojana (PMJDY), even low-income families have opted for a Savings Account for their banking needs. 

A Savings Account is a multifaceted account which helps in –

• Fund transfers to and from bank accounts

• Cash withdrawals

• Online payments 

• Investments, etc.

However, the benefits of your Savings Accounts don’t end here. There are other ways in which you can unlock the true potential of the account. Read on!

Advantages of Savings Account
 

• Earning interest on the account balance
 

Most Savings Accounts require you to maintain a minimum monthly/quarterly balance. Non-maintenance attracts charges making it ideal to avoid. Maintaining the balance is also rewarding as you earn interest on it. The interest can go up to 7% p.a. and even higher.

For instance, if you choose IDFC FIRST Bank Savings Account, you get interest up to 7% p.a.

The interest is paid on a compounded basis, i.e. you earn interest on the interest earned previously, increasing the return potential. 

Compounding works magic if you hold the balance with a long-term perspective and let the returns grow. 

· Inflation-adjusted returns
 

In 2023, India reported the following inflation rates –

You can get inflation-beating investment returns if you choose a high-interest Savings Account.

For example, IDFC FIRST Bank Savings Accounts offer rates up to 7% p.a. giving inflation-adjusted returns on your savings.

· Emergency funding
 

Emergencies can strike anytime, and when they do, they usually involve a big financial outgo requiring instant funds at your disposal. A Savings Account can help provide this financial security.

You can use your debit card and instantly withdraw money from your Savings Account. The card can be used for digital transactions at most places to help you deal with emergencies. Experts usually recommend setting aside 3-6 months’ worth of your income in an emergency fund and holding it in a liquid avenue like a Savings Account.

· Useful for short-term financial goals
 

Are you planning a trip in the coming months? Are you saving to buy a gadget, a home appliance, or a car?

Whatever your financial goal, you can increase your funds with a Savings Account. You can deposit money and build up a corpus for your short-term goals that earn interest, enhancing its value further.

Additional benefits of IDFC FIRST Bank Savings Account
 

With an IDFC FIRST Bank, you can unlock more benefits of your Savings Account that includes -

· Monthly credit of the interest earned

· Free and unlimited ATM withdrawals

· Higher purchase and transaction limits on the debit card

· Choice of three premium debit cards with a range of privileges

· Zero charges on 28 commonly used Savings Account services*

Also read - Thinking of opening an online savings account? Here's why you should do it

​​The bottom line
 

Don’t let your money sit idle. Make it work as hard as you do. Put your money and enjoy the benefits of your Savings Account. Get interest on the balance maintained in the account without the risk of market volatility. Cash payments and receipts are the way of the past.

Today is the digital age, and you can tap into the ease and simplicity of online payments through your savings account and a debit card. Check out more benefits of your Savings Account with the IDFC FIRST Bank Savings Account today!

Disclaimer: *IDFC FIRST Bank offers Zero Fee Banking on Rs 10,000 Average Monthly Balance (AMB) Savings Account and higher account variants, subject to maintenance of AMB in the account.

These services are being offered free in good faith, and in case of abuse, the bank reserves the right to charge fees as per market norms. All rights reserved.

Disclaimer

The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject IDFC FIRST Bank or its affiliates to any licensing or registration requirements. IDFC FIRST Bank shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.